Fort Simpson (Mar 04/05) - Two of the territorial government's top elected officials portrayed the NWT's future as brilliant, but with some distinct challenges, while speaking at a Chamber of Commerce dinner on Feb. 25.

Premier Joe Handley and Michael McLeod, minister of Municipal and Community Affairs (MACA), Transportation and Youth made a pitstop in Fort Simpson at Nahendeh MLA Kevin Menicoche's behest. They were on their way to Norman Wells via the winter road to assess its condition.

McLeod told the dozen people gathered at the cultural centre that he's, "very keen to get to the bottom" of the village's financial woes. He said he's eager to find out why MACA's existing funding formula hasn't been working for Fort Simpson. It's important that MACA and the village build a better relationship, he added.

Owen Rowe, a member of village council who was speaking as a citizen, said the village's situation is unique.

He said he's glad to hear MACA is taking the message to heart because the Fort Simpson's infrastructure is failing and "we won't last this way."

Bernice Swanson, senior administrative officer for the village, noted that federal infrastructure money was offered only as a matching grant and was available only for water and sewer projects. She asked that funding from the federal gas tax come with no such restrictions.

McLeod assured Swanson that the NWT's share of gas tax funding won't require matching dollars. He said MACA is working with the NWT Association of Communities to decide on how to allocate the funds.

Handley told the audience that the GNWT is in the midst of a surplus budget session. The territorial government has approximately $100 million more this year than last, he said. Most of that came from the federal government and it is "a relief to all of us," he said.

Economic growth remains strong with De Beers not only building the NWT's third diamond mine, but considering applying for a fourth, he said. A Mackenzie Valley pipeline is also in the offing, he noted.

"I think generally things are looking very positive for us," said Handley.

However, he reiterated that a resource revenue sharing deal and the devolution of federal powers to NWT governments are critical if the territory is to stop relying on a "welfare cheque" from Ottawa. Currently, the GNWT receives no royalties from development.